Share “Sears Holdings announces CEO is stepping down”

Sears Holdings announces CEO is stepping down

Published on NewsOK Modified: January 7, 2013 at 9:37 pm •  Published: January 7, 2013

Last year it announced it is moving forward with plans to spin off its Hometown and Outlet stores as well as some hardware stores into a separate publicly traded company. The move is part of its effort to restore profitability by aggressively cutting costs, reducing inventory, selling off some assets and spinning off others.

But its sales are still declining. It said Monday that in the nine-week period ending Dec. 29, sales at its stores open at least a year fell 1.8 percent, largely due to sales declines in consumer electronics at both Sears and Kmart. The period included the crucial holiday season — when retailers can make up to 40 percent of annual revenue.

Sales at stores open at least a year is a key metric for retailers because it excludes revenue at stores that recently opened or closed.

Sears also gave an update on its fiscal fourth-quarter earnings. It said it expected to report a loss between $2.64 and $3.40 per share for the quarter ending Feb. 2. Excluding one-time items, it forecasts a profit of between $1.25 and $2 per share.

Sears operates more than 2,600 stores in the U.S. and Canada.

Shares in the Hoffman Estates, Ill.-based company rose nearly 2 percent in trading Monday before D'Ambrosio's departure was announced. In the past 12 months, they have risen almost 58 percent.